corrente

Monday, January 28, 2008

Desolation Stimulus - Midnight's Broken Toll

Moody’s, the credit-rating agency, claims the key to solving the United States’ economic woes is slashing spending on Social Security. The National Assn. of Manufacturers says the fix is for the federal government to adopt the organization’s wish-list of new tax cuts. For Investor’s Business Daily, it is oil drilling in the Arctic National Wildlife Refuge, “perhaps the most important stimulus of all.”

But of all the cynical scrambles to package pro-business cash grabs as “economic stimulus,” the prize has to go to Lawrence B. Lindsey, formerly President Bush’s assistant for economic policy and his advisor during the 2001 recession. Lindsey’s plan is to solve a crisis set off by bad lending by extending lots more questionable credit. “One of the easiest things to do would be to allow manufacturers and retailers” — notably Wal-Mart — “to open their own financial institutions, through which they could borrow and lend money,” he wrote recently in the Wall Street Journal.

Never mind that that an increasing number of Americans are defaulting on their credit card payments, raiding their 401(k) accounts and losing their homes. If Lindsey had his way, Wal-Mart, rather than lose sales, could just loan out money to keep its customers shopping, effectively turning the big-box chain into an old-style company store to which Americans can owe their souls.

If this kind of crisis opportunism feels familiar, it’s because it is. Over the last four years, I have been researching a little-explored area of economic history: the way that crises have paved the way for the march of the right-wing economic revolution across the globe. A crisis hits, panic spreads and the ideologues fill the breach, rapidly reengineering societies in the interests of large corporate players. It’s a maneuver I call “disaster capitalism.”

Look about you and see what he has done.

Thomas Wolfe:

BOOK VII

I believe that we are lost here in America, but I believe we shall be found. And this belief, which mounts now to the catharsis of knowledge and conviction, is for me -- and I think for all of us -- not only our own hope, but America's everlasting, living dream. I think the life which we have fashioned in America, and which has fashioned us -- the forms we made, the cells that grew, the honeycomb that was created -- was self-destructive in its nature, and must be destroyed. I think these forms are dying, and must die, just as I know that America and the people in it are deathless, undiscovered, and immortal, and must live.

I think the true discovery of America is before us. I think the true fulfillment of our spirit, of our people, of our mighty and immortal land, is yet to come. I think the true discovery of our own democracy is still before us. And I think that all these things are certain as the morning, as inevitable as noon. I think I speak for most men living when I say that our America is Here, is Now, and beckon on before us, and that this glorious assurance is not only our living hope, but our dream to be accomplished.

I think the enemy is here before us, too. But I think we know the forms and faces of the enemy, and in the knowledge that we know him, and shall meet him, and eventually must conquer him is also our living hope. I think the enemy is here before us with a thousand faces, but I think we know that all his faces wear one mask. I think the enemy is single selfishness and compulsive greed. I think the enemy is blind, but has the brutal power of his bling grab. I do not think the enemy was born yesterday, or that he grew to manhood forty years ago, or that he suffered sickness and collapse in 1929, or that we began without the enemy, and that our vision faltered, that we lost the way, and suddenly were in his camp. I think the enemy is old as Time, and evil as Hell, and that he has been here with us from the beginning. I think he stole our earth from us, destroyed our wealth, and ravaged and despoiled our land. I think he took our people and enslaved them, that he polluted the fountains of our life, took unto himself the rarest treasures of our own possession, took our bread and left us with a crust, and, not content, for the nature of the enemy is insatiate -- tried finally to take from us the crust.

I think the enemy comes to us with the face of innocence and says to us:"I am your friend."

I think the enemy deceives us with false words and lying phrases saying:"See, I am one of you -- I am one of your children, your son, your brother, and your friend. Behold how sleek and fat I have become -- and all because I am just one of you, and your friend. Behold how rich and powerful I am -- and all because I am one of you -- shaped in your way of life, of thinking, of accomplishment. What I am, I am because I am one of you, your humble brother and friend. Behold," cries Enemy, "the man I am, the man I have become, the thing I have accomplished -- and reflect! Will you destroy this thng? I assure you it is the most precious thing you have. It is yourselves, the projection of each of you, the triumph of your individual lives, the thing that is rooted in your blood, and native to your stock, and inherent in the traditions of America. It is the thing that all of you may hope to be," says Enemy, "for --" humbly-- "am I not just one of you? Am I not just your brother and your son? Am I not the living image of what each of you may hope to be, would wish to be, would desire for his own son? Would you destroy this glorious incarnation of your own heroic self? If you do, then," says enemy, "you destroy yourselves -- you kill the thing that is most gloriously American, and in so killing, kill yourselves."

He lies! And now we know his lies! He is not gloriously, or in any other way, ourselves. He is not our friend, our son, our brother. And he is not American! For, although he has a thousand familiar and convenient faces, his own true face is old as Hell.

Look about you and see what he has done.

-::-::-::-::-

Naomi Klein:

The way we respond to crises is always highly political, a lesson progressives appear to have forgotten. There’s a historical irony to that: Crises have ushered in some of America’s great progressive policies. Most notably, after the dramatic market failure of 1929, the left was ready and waiting with its ideas — full employment, huge public works, mass union drives. The Social Security system that Moody’s is so eager to dismantle was a direct response to the Depression.

Every crisis is an opportunity; someone will exploit it. The question we face is this: Will the current turmoil become an excuse to transfer yet more public wealth into private hands, to wipe out the last vestiges of the welfare state, all in the name of economic growth? Or will this latest failure of unfettered markets be the catalyst that is needed to revive a spirit of public interest, to get serious about the pressing crises of our time, from gaping inequality to global warming to failing infrastructure?

The disaster capitalists have held the reins for three decades. The time has come, once again, for disaster populism.